Useful information

If you are thinking about purchasing a property in Hungary, you might have several questions related. Use this guide to find the answers to all of your questions! Having read the information below, you will have the necessary knowledge to be able to make your safe and correct decision!

Purchase

Purchasing a property in Hungary as a foreign citizen is a process with several regulations and rules. Please read through the following tasks, to get familiar with it!

1. Purchase and sale a property in Hungary
In every purchase you should be aware what you are about to sign. There are certain points, which a proper contract has to contain. Here it goes!

2. Available properties for foreigners, and the authorisation process
There are certain properties which are not available for foreign buyers. Also by every purchase you would need the permit of the Administration Office!

3. The real estate registration claim
Each property and the ownership are registered at the Land Registry Office. At the end of your purchase process, your ownership must be registered as follows!

Building, construction, real estate

Once you have already bought a property and you are about to refurbish it, or build a new building on an existing site, there are several regulations related to these cases. Please learn more about these:

1. Demolition permit
In case you have found your perfect plot with an existing house on it, which you want to demolish to enable the building of your own house, you would apply for a demolition permit!

2. Building permit
Building and refurbishment is always a matter of asking for a permit from the responsible authorities. Please learn more about the details of the process and costs related to it.

3. Occupancy permit
Once the house is finished, you need to ask for an occupancy permit. Here is some useful information about the occupancy permit and the costs of it.

Taxes, duties

There are certain taxes, which are related to property purchase in Hungary like local taxes, duties etc.! Here you will also find all the information which might be useful, whether you only own a property or you live here!

1. Reporting and paying personal income tax
Once you have made a profit on your property (through renting it out or a sale) you have an obligation of reporting and paying personal income tax!

2. Capital Gain Tax
How you can calculate the revenue from the transfer of real estate property?

3. The obligation of paying community tax
If you are an owner of one particular property in Hungary, you need to fill in a form in every year regarding your community tax as follows!

4. Building tax
The value of the building tax is different in every village and city in Hungary, but every local government needs to obey the low, which is as follows!

5. Land tax
The value of the land tax is similar to the building tax, different in every villages and cities in Hungary, but every local government needs to obey the low, which is as follows!

6. Duty exemptions
Under some special circumstances there is a possibility of not paying stamp duty. Please read more about these circumstances and exemptions.

Some additional information about:

1. Expropriation
What is the process of expropriation, how is it possible, and what are the regulations related to it?

2. Joint ownership
Sometimes it happens that a property is owned in a joint ownership. Please learn more about the internal and external legal relations of this kind of ownership.

3. Inheritance

The basis and rate of death duties
In case of death, the Hungarian Authorities will start the inheritance process and will ask for the inheritance duty!

The order of intestate succession
In case of death the order of intestate goes as follows!

The probate of the will
As a foreign citizen you are required to start the inheritance process in Hungary!

With the information above, we have tried to gather all the important tasks related to buying a property in Hungary. However, there could be several other questions you might be still interested in. In that case, we really recommend visiting the Hungarian Electronic Government Centre, as this is probably the most relevant and always updated. There are several other tasks as well, which could be useful for you!